Chinese battery and electric vehicle giant BYD has officially signed an agreement with Vietnam’s Kim Long Motors to construct a new electric vehicle battery factory in central Vietnam. According to the agreement, the battery factory project will proceed in two phases. BYD’s decision to establish a battery factory in Vietnam is closely linked to the country’s burgeoning new energy vehicle market. For BYD, the Vietnamese battery factory is a deepening of its Southeast Asia strategy. The establishment of the Vietnamese battery factory will not only help BYD capitalize on local market growth but also leverage Vietnam’s tariff advantages to accelerate its globalization process.